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14.
Hyperchoice and the choice paradox<br />We think more choice is better, but there can be problems with excessive choice:<br />Decisions become less likely (paralysis)<br />Choice satisfaction drops<br />

18.
Decision paralysis<br />40%<br />A<br />What percentage of shoppers stopped at the display?<br />Shoppers were more attracted to greater variety, but were less likely to actually make a decision.<br />B<br />60%<br />Iyengar, S. (Columbia) & Lepper, M. (Stanford), 2000, When choice is demotivating: Can one desire too much of a good thing. Journal of Personality and Social Psychology, 79, 995-1006<br />

19.
Which sections were most likely to<br />An extra credit writing assignment in a class at Stanford: some sections had 6 topic options. Others had 30 (6 + 24) topic options.<br />complete the essay?<br />Iyengar, S. (Columbia) & Lepper, M. (Stanford), 2000, When choice is demotivating: Can one desire too much of a good thing. Journal of Personality and Social Psychology, 79, 995-1006<br />

24.
An experiment with two digital video player versions<br />Before use, which had higher rating of “How satisfied would you be if you subscribed to the digital player?”<br />Few features (7)<br />Many features (21)<br />No difference<br />

26.
An experiment with two digital video player versions<br />After use, which had higher rating of “How satisfied were you with the digital player you used?”<br />Few features (7)<br />Many features (21)<br />No difference<br />

28.
Do more television options make you better off?<br />72,012 respondents from 24 nations with varying numbers of available television stations<br />Comparing among those with similarly high or low levels of television watching compared with group norms<br />

31.
Participants choosing from a selection of 30 chocolates instead of 6 chocolates were “more dissatisfied and regretful of the choices they made.”<br />Iyengar, S. (Columbia) & Lepper, M. (Stanford), 2000, When choice is demotivating: Can one desire too much of a good thing? Journal of Personality and Social Psychology, 79, 995-1006<br />

32.
Participants were given a picture representing a set of gift boxes with a certain number of alternatives. They were asked to choose the gift box they would buy to pack a present for a friend.<br />

33.
Different people were tested with different numbers of gift box options. <br />According to standard economic theory, which group should be the happiest with their selected option?<br />5 options<br />10 options<br />15 options<br />30 options<br />

34.
Different people were tested with different numbers of gift box options. <br />When asked afterwards, which group actually reported the highest satisfaction with their choice?<br />5 options<br />10 options<br />15 options<br />30 options<br />

35.
E. Reutskaja (IESE) & R. Hogarth (UniversitatPompeuFabra-Barcelona), 2009, Satisfaction in Choice as a Function of the Number of Alternatives: When “Goods Satiate. Psychology and Marketing, 26(3), 197-203.<br />

36.
When asked afterwards, which group most enjoyed the process of selecting the box?<br />5 options<br />10 options<br />15 options<br />30 options<br />

37.
E. Reutskaja (IESE) & R. Hogarth (UniversitatPompeuFabra-Barcelona), 2009, Satisfaction in Choice as a Function of the Number of Alternatives: When “Goods Satiate. Psychology and Marketing, 26(3), 197-203.<br />

39.
Increases time spent contemplating negative results<br />Attaches personal responsibility to the negative outcome<br />When all options are negative, even limited choice can be undesirable<br />

40.
An experiment with unpleasant yogurt flavors: <br />sage, chili powder, tarragon, or celery seeds<br />Either asked to pick one or told they would be given one randomly.<br />

41.
Did you like the fact that you were given a choice? <br /> 5.50 agreement<br />Did you like the fact that you did not have to choose? <br /> 4.41 agreement<br />But, did choice result in greater satisfaction?<br />Yes<br />No<br />Made no difference<br />S. Botti (U. Chicago) & S. Iyengar (Columbia U.), 2004, The psychological pleasure and pain of choosing: When people prefer choosing at the cost of subsequent outcome satisfaction. Journal of Personality and Social Psychology, 87(3), 312-326.<br />

42.
Not too many options here (only 4), but all options were negative<br />S. Botti (U. Chicago) & S. Iyengar (Columbia U.), 2004, The psychological pleasure and pain of choosing: When people prefer choosing at the cost of subsequent outcome satisfaction. Journal of Personality and Social Psychology, 87(3), 312-326.<br />

43.
“Although increased choice is perceived as desirable, in some circumstances, the provision of choice either inhibits decision makers’ likelihood to make a choice or detrimentally affects their experienced well-being after the choice is made.”<br />S. Botti (Cornell) & S. Iyengar (Columbia), 2006, The dark side of choice: When choice impairs social welfare. Journal of Public Policy and Marketing, 25(1), 24-38.<br />

45.
Diversification Bias<br />We hate losing options, even when they are bad ones. <br />We love diversification, even when it is pointless and costly.<br />We avoid focusing, even when there is only one correct choice.<br />Paradox of Choice: Too many options <br /><ul><li>can make decisions difficult.

47.
are more likely to cause regret.</li></li></ul><li>Diversification Bias<br />We hate losing options, even when they are bad ones. <br />We love diversification, even when it is pointless and costly.<br />We avoid focusing, even when there is only one correct choice.<br />The struggle is important because…<br />The Paradox of Choice <br />Too many options<br /><ul><li>can make decisions difficult.